China Investment Corporation (CIC) will soon invest in the global equity market via overseas investment managers, the official China Securities Journal reported Wednesday.
CIC, the country’s sovereign wealth fund, will start its investment with active global equities, active emerging markets equities and active Asia (ex-Japan) equities, the newspaper said, citing unnamed sources. The CIC also plans to invest in blue chip shares and shares of leading sectors in order to achieve considerable returns under controllable risks.
According to the newspaper, the CIC has designed a strategic asset portfolio consisting of both traditional assets and alternative assets.
Wang Jianxi, the company’s chief risk officer, had noted that the CIC would adopt a highly diversified portfolio in order to seek long-term returns.
The sources also told the newspaper that the CIC also plans to invest in fixed-income products, mortgage-backed securities, money market funds and direct investment products, including real estate investment funds and private equity funds.
For more details, please read the full story in Chinese
(China.org.cn by Yan Pei, July 9, 2008)